Imagine for a moment that it’s that day. The day that you receive the call. Your parent, your spouse or adult child is unresponsive in the hospital, or has just passed away.
There are no words that do justice to the emotional devastation that you are now set to endure. You want, and need, to grieve and yet are launched into what could ultimately become the worst scavenger hunt of your life. What exactly do they own? What do they owe? Can you make decisions on their behalf or even get into their computer, phone or tablet to look into it? Maybe they told you about some of these things, but that was years ago and as I like to say “I’ve slept since then.”
Many of us face the likelihood of eventually becoming the survivor of someone that we love. With that, it may mean inheriting the task of settling the affairs of their estate. Not an easy task, even when everything is thoughtfully organized.
The truth is, in our death-denying society, hours and hours may be spent on planning for that big phase we call “retirement.” Retirement, though it may be more pleasant to think about, is not guaranteed. Death, as we all know, is.
Having worked with many widows and other survivors, I’ve come to realize that while planning, saving and investing for education and retirement may seem like the most important of our financial tasks, its tending to the fact that our survivors may one day be living a life without us that can ultimately become that task which is most important. Our best and final gift.
So what kind of steps can you take to help your survivors? It can be easy to assume that it’s all taken care of by just having a will; but truly accomplishing the undertaking of protecting your survivors through end of life planning is much more than that. The steps I suggest are to start by creating a file, a binder or a box, whatever works best for your ease of organization. Whether you’re 25 or 65, here’s a list of items to get you started:
1. The contact information of the most important people in your life and the people your family may need assistance from. Include all necessary professional relationships and friends or family that would want to be notified.
2. Copies of vital records and identification are a must. For example, military discharge papers are important for a family to have in order to establish eligibility for VA burial benefits.
3. Health care proxy (power of attorney), directives and HIPAA authorization will be valuable in the event that someone needs to make health care decisions on your behalf.
4. Financial records, any and all. Include a list of what you own, what you owe, a copy of your taxes, any employer benefits and insurance information. Very important also to document here what money is coming in and where it is going out.
5. A copy of all legal documents (and note to the location of originals). Including but not limited to: last will and testament, trusts, titles, deeds, partnership agreements, and powers of attorney.
6. A pre-plan for your funeral, and the information your survivors would need for your obituary. This part may be the least desirable to do but, in the throes of grief, will be very appreciated by your loved ones.
7. Online accounts, cloud storage and voicemail: In the land of the law, this is a slippery slope so I suggest thinking through what you’ve got and consulting with an attorney about what to do.
8. Last but not least, letters are worth your weight in gold. Nothing does a better job of telling your loved ones what to do and how much you care.
All this can be accomplished by dedicating an hour or two a month. Don’t let the project overwhelm you, if it does, it may never get done. If you keep it in small bite sized steps, it will take longer to complete but that beats “incomplete” any day. Once you’ve started, you’ll want to make sure your “need to know” people know where it can be found.
Your loved ones will thank you for it.
Wendi Strom is a Wealth Manager and Certified Financial Planner at Renaissance Wealth Management in Englewood. A life-long champion for women’s financial security and investment literacy, Wendi serves as the president-elect of the Financial Planning Association of Colorado.
Financial Planning By Wendi Strom